Update on the AGA, APGA and NPGA Legal Challenge to the DOE Final Rule for Commercial Water Heating Equipment that Requires Condensing Technology for Gas-fired Commercial Water Heaters.

On October 13th, we reported on the October 6, 2023 DOE Federal Register final rule (attached) pertaining to energy conservation standards for commercial water heaters (CWH). In this final rule, DOE adopted amended standards for CWH equipment that requires gas-fired storage water heaters to have a 95% thermal efficiency (condensing) and 96% thermal efficiency for gas-fired instantaneous water heaters. The effective date of this rule is December 5, 2023. The actual effective date for requiring all gas commercial water heaters manufactured to meet these minimum efficiency requirements will be on or after October 6, 2026.  On Wednesday, AGA, the American Public Gas Association (APGA) , and the National Propane Gas Association (NPGA) submitted additional required procedural information in support of a petition including a Non-Binding Statement of Issues (attached) that provides additional information on the issues we intend to raise in challenging the development, rationale, and justification that DOE used to determine the Final Rule.  We will continue to provide updates on the petition filing as it is processed through the Court of Appeals.

Deadlines for Proposed Changes to the ICC International Fuel Gas Code and IAPMO Uniform Plumbing and Uniform Mechanical Code Due in Early January.

As a reminder, proposed changes to the proposed 2027 Edition of the ICC INFG are due on January 8, 2024. The first ICC Code Change Committee hearing is scheduled to be heard during the Group A codes Committee Action Hearings scheduled for April 7-16, 2024. The ICC Code Development Schedule can be found here.  In addition, the deadline to submit code change proposals to the International Association of Plumbing and Mechanical Officials (IAPMO) to the associations Uniform Mechanical Code ( UMC) and the Uniform Plumbing Code (UPC)  is January 12, 2024. Both the UMC and UPC have provisions that cover the installation of fuel gas appliances, interior piping, and venting requirements.  The current IAPMO code development cycle can be found here. Please provide us any suggested code changes for the IFGC, UMC or UPC by December 10th for BECS Committee consideration .

DOE Releases Program Guidance and Applications for $400 million in funding to States and Territories for Adopting and Implementing Building Energy Codes.

This week, DOE released “ program guidance and opened applications for $400 million in formula funding to states and territories for adopting and implementing building energy codes that reduce utility bills, increase efficiency, lower greenhouse gas emissions”,  The funding is provided by the Inflation Reduction Act (IRA), and  states  can now access this funding for the adoption and implementation of the latest building energy codes and zero energy codes.

The announcement provides federal guidance in adopting and implementing two categories of building energy codes:  $240 million will be available to adopt and implement the latest building energy code, the 2021 International Energy Conservation Code (IECC) for residential buildings and the ANSI/ASHRAE/IES Standard 90.1–2019 for commercial buildings, or other codes that achieve equivalent or greater energy savings.  In addition, $160 million will be available to adopt and implement the zero energy provisions in the 2021 IECC, or other codes with equivalent or greater energy savings.

BECS Committee members are encouraged to review the program guidance that also includes the amount of funding being allocated to each state to access the funds. States that apply and comply with the requirements will require all new homes and commercial buildings to meet or exceed the 2021 IECC for residential applications and the 2019 ASHRAE Standard 90.1. Note that the program guidance does not permit amendments to either code that reduces energy savings from either code.

State Codes Activity Update.

Attached is a weekly feature of the “Friday Update” covering state code calendar activities as presented by the online utility “Fiscal Note,” which is sponsored by APGA and AGA Code and Standards. Please review the update and determine if there are state code activities that impact your service territory or organization.